Maduro’s threats will not slow down oil developments - VP Jagdeo

Maduro’s threats will not slow down oil developments – VP Jagdeo

Dec 08, 2023 Court Stories, ExxonMobil, Features / Columnists, News, Oil & Gas

– Companies should ignore three-month ultimatum to exit

By Kiana Wilburg

Kaieteur News – Vice President, Bharrat Jagdeo said on Thursday that his administration will not slow down any aspect of its multi-billion-dollar oil sector developments following ridiculous threats from Venezuelan President, Nicolas Maduro.

During an engagement with media operatives at Office of the President, Jagdeo said, “If we pause any of our developments, Maduro succeeds. He has no right in international law to tell the people of Guyana, a sovereign country, how to pursue its affairs…”

The Vice President provided the foregoing response following questions from Kaieteur News. It was on Tuesday Maduro announced that he would take a number of steps to take control over Guyana’s Essequibo region, in clear defiance of an order by the International Court of Justice (ICJ) to stand down.

Maduro said he has instructed his regulators to create a mining conglomerate as well as an oil company that would be in charge of issuing licences for companies to operate in the Essequibo area. He also instructed that a special law be drafted that would essentially bar companies from engaging with ExxonMobil as well as other companies within the area. Another egregious measure he announced was that companies have three months to exit the area.

In light of such troubling measures, Guyanese authorities have approached the United Nations Security Council to help compel Venezuela to comply with the ICJ’s orders. The World Court has also been notified of Venezuela’s disobedience. Until definitive statements or the next course of action is handed down from the council or the ICJ, Kaieteur News asked the Vice President if any oil sector issues would be put on pause.

The Vice President categorically stated there will be no stopping of Guyana’s developments and even urged all companies in the Essequibo region to disregard Venezuela’s ultimatum. He said, “…we are working to enhance our programme, we are deep in budget preparation and if we get paralyzed by this, then we will fall prey to what he is trying to achieve.”

The Guyanese leader said authorities are in an enhanced operational mode which sees a group of the highest level of officials in government dedicated to this issue. “But we are not taking our attention off of what we are elected to do in this country, which is govern and to enhance benefits to people. We are preparing our budget for next year and before the end of the year, the payout would be made regarding salary increases for public servants,” the Vice President said.

He also noted that the latest report from the International Monetary Fund (IMF) is a testament to the government’s prudent management of the economy which is being bolstered by the 11 billion barrels of oil discoveries in the Exxon-operated Stabroek Block. Jagdeo also referenced aspects of the IMF report which praised the government for containing inflation in spite of enhanced spending on capital. The IMF has also said Guyana’s economic prospects are better than ever.

The report said, “Guyana’s oil reserves per capita are one of the highest in the world. Going forward, oil production will continue to expand rapidly as four new fields will come on stream by end-2028.

“Sustained real non-oil GDP growth is also expected, as the government continues to invest in human capital, lower energy costs, and build infrastructure, including for climate change adaptation. Real GDP is expected to continue to grow extremely fast in 2023 (38.4 percent) and on average of 20 percent per year during 2024-28.” The Vice President was also keen to highlight the report’s mention of the modernized framework of the oil and gas sector which includes the new Natural Resource Fund law and the introduction of the Petroleum Activities Law. He concluded, “So we are focused on delivering on the social goods and we are not stopping. If we do otherwise, then Maduro succeeds.”

developments, Dr. Bharrat Jagdeo, Nicolás Maduro, Venezuelan President, Vice President

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